O Reilly AutomotiveORLY

01As of June 30, 2026, the company operated 6,541 stores in 48 U.S. states and Puerto Rico, 126 stores in Mexico, and 28 stores in Canada The company's competitive advantages include its strategic distribution and hub store network that provides same day and over-night inventory access for stores to offer a broad selection of product offerings The company anticipates total new store growth to be 225 to 235 net, new store openings in 2026

02O'Reilly demonstrates pricing power: it raised same-SKU prices and lifted average ticket values while accelerating comparable store sales growth, indicating customers absorbed higher prices without defecting. This suggests demand is relatively inelastic and the company can protect margins through inflationary or tariff-driven cost cycles.

03An aging, growing vehicle fleet structurally expands O'Reilly's addressable market: more vehicles outside warranty require more maintenance, and the rising complexity of those vehicles raises average repair cost per event. This secular tailwind compounds independent of economic cycles.

04Gross profit margin was 51.4% of sales for Q2 2026, unchanged from Q2 2025 Gross profit margin was 51.5% of sales for H1 2026 versus 51.4% for H1 2025 Gross margin increases were primarily due to improved acquisition costs and distribution operating efficiencies The company reduces effects of merchandise cost increases principally by taking advantage of supplier incentive programs and economies of scale resulting from increased volume of purchases